Question: ATL International evaluates capital projects using the net present value, internal rate of return, profitability index, and payback methods. Project XYZ has an IRR of

ATL International evaluates capital projects using the net present value, internal rate of return, profitability index, and payback methods. Project XYZ has an IRR of

14.5 %,

profitability index of

1.0,

an initial cash outflow of $

375, 000,

and a payback period of

5

years and

0

months. For capital projects management requires a rate of return of

14.5 % .

What is the project's net present value?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Question 4 10 Points A pendulum moving in simple harmonic motion is modelled by the function s (1) = - 5cos ( -) , where s is measured in inches and t is measured in seconds. Determine the first time...

You wish to determine the future value at the end of 2 years of a $15,000 deposit made today into an account paying a nominal annual rate of 12%. a. Find the future value of your deposit, assuming...

Refer to the following excerpt from a hypothetical research article that compared memory test performance between two groups of participants: those who consumed a caffeinated beverage before the test...

For each polynomial function, find (a) (-1), (b) (2), and (c) (0). f(x)=x5x4

Hugo Company has a five-day workweek and pays salaries of $35,000 each Friday. 1. Prepare the adjusting entry required on May 31, assuming that June 1 falls on a Wednesday. 2. Prepare the entry to...

=+a) An airline company reports that last year 85% of their flights arrived on time. From a random sample this year, they want to know if that proportion has changed.

Discuss the growth of clinical psychology in the United States from the early 1900s to present.

On January' 1, Lorain Corporation had 2,000 shares of $5 par common stock LO 15.7 authorized and outstanding. These shares were originally issued at a price of $26 per share. In addition, 500 shares...

Explain horizontal and vertical integration

1 AT3: Individual Assignment BFA747 Semester 2, 2023 Data Analytics for Accounting Assignment Type: Individual assignment Weighting: 35% Due Date: Written Report is due on the 16th October (Monday:...

2. Consider the cash flows for the following two projects: n A B 0 -$15,000 -$20,000 1 $3,000 $2,600 2 $X $6,400 3 $3,000 $9,150 4 $3,000 $12,100 5 $3,000 $13,120 (a) For project A, find the value of...

Thinking about your natural negotiation style, ask yourself: In general, when does your style help you and when does it not help you in negotiation situations? Now, think about how you can translate...

There are three (3) columns, the first column is the reduction of prevention costs, second column is progressive reduction of appraisal costs, and the last column is reduction of failure costs. 2.In...

( Scenario 1 4 - 1 ) After it launched, PlayWithMe contracted with three major search engines to show its advertisements any time a user searched for certain terms that were closely identified with...

There are three different methods commonly used for capturing network data. These are (1) using a network tap, (2) using a SPAN port on a switch, and (3) using a tool built into a network device...

Gross amount of invouce is $ 8 5 0 . there is no freight charge. date of invoice is 8 / 4 . terms of invoice are 3 / 1 0 , 2 / 1 5 and n / 3 0 . date of payment is 8 / 1 8 . find the cash discount....

Question 6: Given the profits that MMWC expects to produce in the next fiscal year, should it expand and feed more people? Why has it chosen not to feed more than 5,200 people? What would be required...

To balance the chemical equation SiH3 + O2 SiO2 + HO, you could introduce coefficients a, b, c, d and write aSiH3 + bO2 cSiO + dHO then write linear equations for each element. The equation for Si...

An entry for futures contract bought will be recorded and posted a. In the income statement b. On the balance sheet c. Off the balance sheet d. None of the above

Portfolio valuation process means a. Only ascertaining the fair value of the product dealt with b. Only marked-to-market process c. Both a and b d. None of the above

The futures contract will automatically expire on a. Settlement date b. Expiry date of the contract c. End-of-day every day, facilitating the marked-to-market process d. None of the above